What Analysts Are Saying About Lumen Technologies Stock

4 analysts have expressed a variety of opinions on Lumen Technologies LUMN over the past quarter, offering a diverse set of opinions from bullish to bearish.

The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.

Insights from analysts' 12-month price targets are revealed, presenting an average target of $5.06, a high estimate of $6.50, and a low estimate of $4.25. Observing a downward trend, the current average is 17.32% lower than the prior average price target of $6.12.

Exploring Analyst Ratings: An In-Depth Overview

The standing of Lumen Technologies among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Lumen Technologies. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of Lumen Technologies compared to the broader market.
• Price Targets: Analysts predict movements in price targets, offering estimates for Lumen Technologies's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of Lumen Technologies's market standing. Stay informed and make data-driven decisions with our Ratings Table.

Stay up to date on Lumen Technologies analyst ratings.

Get to Know Lumen Technologies Better

With 450,000 route miles of fiber, Lumen Technologies is one of the United States' largest telecommunications carriers serving global enterprises. Its merger with Level 3 in 2017 and divestiture of much of its incumbent local exchange carrier, or ILEC, business in 2022 have shifted the company's operations away from its legacy consumer business and toward enterprises (now about 75% of revenue). Lumen offers businesses a full menu of communications services, providing colocation and data center services, data transportation, and end-user phone and internet service. On the consumer side, Lumen provides broadband and phone service across 37 states, where it has 4.5 million broadband customers.

Unraveling the Financial Story of Lumen Technologies

Market Capitalization Analysis: The company's market capitalization surpasses industry averages, showcasing a dominant size relative to peers and suggesting a strong market position.

Decline in Revenue: Over the 3M period, Lumen Technologies faced challenges, resulting in a decline of approximately -3.28% in revenue growth as of 31 March, 2025. This signifies a reduction in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Communication Services sector.

Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of -6.32%, the company may need to address challenges in effective cost control.

Return on Equity (ROE): Lumen Technologies's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of -53.39%, the company may encounter challenges in delivering satisfactory returns for shareholders.

Return on Assets (ROA): Lumen Technologies's ROA stands out, surpassing industry averages. With an impressive ROA of -0.6%, the company demonstrates effective utilization of assets and strong financial performance.

Debt Management: With a high debt-to-equity ratio of 62.03, Lumen Technologies faces challenges in effectively managing its debt levels, indicating potential financial strain.

The Core of Analyst Ratings: What Every Investor Should Know

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.